AUD/USD remains in bear's territory before Capex event

AUD/USD is currently on the offer as we await Aussie Capex as the main event ahead.

Aussie capex preview: watch for weakness - Westpac

AUD/USD has been good two way business overnight resisted by the 100 sma on hourly with 0.7200 a hard level to crack on the recovery attempt from lows of 0.7145.

The U.S. dollar was unable to find traction overnight on a choppy treasury market and a falling a falling XFFE rate as markets start to judge June a month too soon based on Fed rhetoric signaling July a more appropriate time line for a Fed hike.

A Pre- OPED meeting was also said to have no discussion of a limit on oil production making for a softer tone in the commodities sector, despite the bull market in copper of late turning into consolidation after three days of gains.

AUD/USD levels

AUD/USD remains in a bearish channel, capped by the bearish 20 sma on the 4hr sticks and the100 dma and 200 dmas have also served as a barrier over the past number of sessions this week on recovery attempts. RSI on the daily time frame is also bearish and price could target the 0.7044 level being the 78.6% retracement while below the 200 dma at 0.7252.